Introduction to Digital Transformation Roadmaps (Roadmap Series Ep 1)

Summary

Glenn Smyth, CEO of Fragile to Agile, discusses the importance of developing a clear roadmap for technology aligned with business strategy, often termed as the 'beacon' or 'north star.' His company specializes in creating digital transformation roadmaps that are 'shovel ready,' requiring prerequisites like a well-defined target state, a current state assessment, and a stable business model. Smyth emphasizes the need for a Business Capability Model to facilitate ongoing planning and design, ensuring the roadmap is traceable back to measurable business strategies, ultimately leading to an agile and adaptable organization.

Takeaways

• 🚀 Glenn Smyth, CEO of Fragile to Agile, emphasizes the importance of developing a roadmap for technology aligned with business strategy.
• 🌟 The 'Target State' is likened to a 'beacon on the hill' or 'north star', guiding the organization's business and technology systems towards the future.
• 🛣️ A roadmap is essential for making an organization's strategy executable, providing direction and clarity on how to achieve strategic goals.
• 🔄 While roadmaps may need to adapt to real-world conditions, having one and updating it is better than not having a plan at all.
• 🔄 The term 'Digital Transformation Roadmap' is often used, but it's essentially a well-executed Business Transformation Roadmap in the digital age.
• 🔑 Key prerequisites for an executable roadmap include gaining senior executive and board support, and ensuring the roadmap is of high quality and linked to strategy and benefits.
• 🎯 A clear definition of the target state is crucial, including understanding the required solutions and business capabilities.
• 🏢 The conceptual Target State architecture shows how systems will work together to support the business strategy.
• 📈 Understanding the current state is vital, achieved by mapping current systems onto a Business Capability Model to identify gaps and opportunities for improvement.
• 🏗️ For large organizations, understanding the operating model and standardization of capabilities across different business units is critical for successful transformation.
• 🛠️ The Business Capability Model (BCM) is a stable tool for understanding the current state and planning the Target State, promoting business and technology alignment.
• 📊 The Business Strategy should be articulated in measurable, SMART outcomes to connect the Target State and Roadmap to the organization's goals.
• 📈 A one-page communication vehicle summarizing the transformation journey is a powerful tool for internal and external stakeholders.
• 🔄 Fragile to Agile roadmaps aim to make organizations more agile, adaptable, and flexible, setting them up for continuous improvement and agile delivery.
• 🏛️ The Integrated Architecture Framework is a consistent design framework that has remained unchanged for 23 years, providing a reliable tool for successful execution and governance.

Q & A

What is Fragile to Agile and what does it specialize in?

Fragile to Agile is a company founded and led by Glenn Smyth. It specializes in assisting organizations in developing, securing funding for, and governing the execution of a technology roadmap. This involves helping organizations understand their target state for business and technology systems to support their business strategy.

What is the significance of having a Target State and Roadmap for an organization?

A Target State and Roadmap are crucial as they provide a clear direction for an organization's strategy execution. They help bridge the gap between strategy and action, ensuring that the organization has a clear understanding of where it is heading and how to get there.

What does Glenn Smyth refer to as the 'beacon on the hill' or 'north star' in the context of business strategy?

The 'beacon on the hill' or 'north star' refers to the Target State for a business's technology and business systems. It is the ultimate goal that guides the organization's strategic direction and development.

Why is it important to have a roadmap even though it may not survive contact with the real world?

Having a roadmap is important because it provides a sense of direction and purpose. Even though it may need to be updated periodically to reflect real-world changes, it is better to have a starting point and a plan that can be adjusted, rather than having no plan at all.

What is the difference between a Digital Transformation Roadmap and a Business Transformation Roadmap according to Glenn Smyth?

According to Glenn Smyth, a Digital Transformation Roadmap is essentially a Business Transformation Roadmap done well. The distinction is that in the 21st century, most transformations are digital by default, and the goal is to adapt and evolve using digital tools and strategies.

What are the prerequisites for a roadmap to be considered 'shovel ready' or executable?

For a roadmap to be executable, it needs to be accurate, linked to strategy and benefits, and of high quality to gain senior executive and board support. This ensures that the roadmap is not only theoretically sound but also practically implementable and financially viable.

What are the three components of defining a Target State according to the script?

The three components of defining a Target State are understanding the required Solutions and the business capabilities they need to support, a conceptual Target State architecture showing how systems will work together, and a visually appealing representation of the Target State to aid in executive communication.

Why is it necessary to understand the current state of an organization's systems before developing a roadmap?

Understanding the current state is essential to map out a journey to the Target State. Without knowing the starting point, it's impossible to plan the necessary steps and changes. This understanding also provides immediate value and insights into the current systems, such as identifying gaps and opportunities for improvement.

What is a Business Capability Model (BCM) and why is it important for roadmap development?

A Business Capability Model (BCM) is a tool that models what a business does, rather than how it's done or who does it. It's important for roadmap development because it provides a stable and less frequently changing model to understand the current state and plan the Target State, ensuring business and technology alignment.

How does the Business Strategy connect to the Target State and Roadmap?

The Business Strategy should be clearly articulated in measurable, SMART outcomes. This provides justification and traceability for the Target State and Roadmap, ensuring that they are aligned with and support the overall business goals and objectives.

What is the significance of the Integrated Architecture Framework mentioned by Glenn Smyth?

The Integrated Architecture Framework is a consistent design framework that covers all domains of an organization's design. It is a critical tool for successful execution and governance of transformation programs, having remained unchanged for 23 years and proving its effectiveness over time.

How does Fragile to Agile ensure that the organization becomes more agile through their roadmap development?

Fragile to Agile roadmaps are designed to not only align with and trace back to the business strategy but also to recognize the importance of change in the modern world. The goal is to make the organization more adaptable and flexible, setting it up for continuous improvement and an agile delivery approach.

Outlines

00:00

🛣️ Developing a Technology Roadmap for Business Strategy

Glenn Smyth, CEO of Fragile to Agile, introduces the company's focus on guiding organizations to create and execute a technology roadmap aligned with their business strategy. He emphasizes the importance of a clear target state, often referred to as the 'beacon on the hill' or 'north star,' which is essential for making strategy executable. Smyth suggests that while roadmaps may need to be updated as they encounter real-world challenges, having one is better than not having any direction at all. He also touches on the prerequisites for an executable roadmap, including gaining support from senior executives and boards, and the need for high-quality planning to secure funding.

05:06

🏗️ Building a Foundation for Digital Transformation

The second paragraph delves into the prerequisites for creating an effective roadmap. Smyth discusses the necessity of defining the target state with clarity, which includes understanding the required solutions and business capabilities, as well as visualizing the target state architecture. He also highlights the importance of understanding the current state of the organization's systems and how they support the business strategy. The paragraph touches on the value of mapping current systems to a Business Capability Model, which can provide immediate insights and opportunities for improvement. Furthermore, Smyth explains the significance of having a stable business model to plan the target state and the role of the Business Capability Model as a tool for ongoing planning and design. He concludes by stressing the importance of articulating the business strategy in measurable outcomes and the role of Fragile to Agile's Integrated Architecture Framework in driving successful execution and governance of transformation programs.

Keywords

💡Fragile to Agile

Fragile to Agile is the name of the company founded by Glenn Smyth. It is a consultancy that specializes in helping organizations develop and execute a roadmap for their technology, aligning it with their business strategy. The company's name reflects its mission to transform organizations from being fragile and slow to change, to being agile, adaptable, and flexible in the face of ongoing transformation.

💡Roadmap

A roadmap in this context refers to a strategic plan that outlines the steps an organization needs to take to achieve its target state. It is crucial for making a business strategy executable and is often updated to reflect changes in the business environment. The script emphasizes the importance of having a roadmap and updating it periodically to guide the organization's journey.

💡Target State

The target state is the envisioned future condition of an organization's business and technology systems that will support its business strategy. It serves as a 'beacon on the hill' or 'north star' guiding the organization's direction. The script discusses the importance of having a clear understanding of the target state as a prerequisite for developing an effective roadmap.

💡Digital Transformation

Digital transformation is the process of integrating digital technology into all areas of a business, fundamentally changing how an organization operates and delivers value to customers. In the script, Glenn Smyth notes that a digital transformation roadmap is essentially a well-executed business transformation roadmap in the modern era.

💡Business Capability Model (BCM)

A Business Capability Model (BCM) is a tool used to understand what a business does, rather than how it is done or who does it. It is a stable model suitable for planning and designing a target state. The script highlights the BCM as a key component in understanding the current state of an organization and planning for its future.

💡Shovel Ready

In the script, 'shovel ready' is used metaphorically to describe a roadmap that is ready for execution, having met all necessary prerequisites. It implies that the roadmap is well-prepared, accurate, and linked to the strategy and benefits, ready to gain executive support and funding.

💡Agility

Agility in an organizational context refers to the ability to quickly and effectively adapt to changes in the business environment. The script mentions that a successful transformation should result in an organization being more agile, which is part of Fragile to Agile's philosophy and reason for existence.

💡Integrated Architecture Framework

The Integrated Architecture Framework is a consistent design framework that covers all domains of an organization's architecture. It is highlighted in the script as a critical tool for successful execution and governance of a transformation program, having remained unchanged for 23 years.

💡SMART Goals

SMART is an acronym for Specific, Measurable, Attainable, Relevant, and Time-bound, which is a common method for setting goals. In the script, SMART goals are mentioned as a way to clearly articulate the business strategy, providing a measurable and unambiguous vision for the organization.

💡Marketecture

Marketecture is a term used in the script to humorously describe a graphically appealing representation of the target state. It is used to support executive communication and is an essential part of making the roadmap understandable and engaging for stakeholders.

💡Transformation

Transformation in the context of the script refers to a significant change in the way an organization operates, often involving the integration of new technologies and processes. The goal is to make the organization more efficient, competitive, and better aligned with its business strategy. The script discusses the prerequisites and approach to successful business and technology transformation.

Highlights

Glenn Smyth introduces Fragile to Agile, a company specializing in developing technology roadmaps for organizations.

The importance of understanding the target state for business and technology systems to support business strategy is emphasized.

Roadmaps are compared to a 'beacon on the hill' or 'north star' guiding organizations towards their strategic goals.

The necessity of having a roadmap, even if it needs periodic updates, is stressed over having no direction at all.

Digital Transformation Roadmap is considered a subset of a well-executed Business Transformation Roadmap.

Pre-requisites for an executable roadmap include gaining senior executive and board support and securing funding.

The target state must be clearly defined, with three components: solutions, business capabilities, and a conceptual architecture.

A graphical representation of the target state, termed 'Marketecture,' is essential for executive communication.

Understanding the current state by overlaying systems onto a Business Capability Model is crucial for roadmap development.

The Business Capability Model (BCM) is highlighted as a stable tool for understanding the business's 'what' rather than 'how' or 'who'.

The BCM's role in driving business and technology alignment through a Target State and roadmap is discussed.

The need for a clear articulation of the Business Strategy in measurable, SMART outcomes is underlined.

A one-page communication vehicle summarizing the transformation journey is proposed for effective communication.

Fragile to Agile's approach to making organizations more agile through transformation is explained.

The Integrated Architecture Framework is introduced as a consistent design framework covering all domains.

The framework's longevity and adaptability over 23 years without change is highlighted.

An invitation to reach out for further discussion on specific challenges and how Fragile to Agile's approach can help.

Transcripts

Hi, my name is Glenn Smyth, founder  and CEO of Fragile to Agile. 

We specialize in helping organizations develop,  

gain funding for, and govern the execution  of a roadmap for their technology. 

This requires a clear understanding of the target  state for their business and technology systems  

that are required in order to support their  business strategy. This is often referred  

to as the beacon on the hill or north star in  marketing parlance or consulting speak these days.

Just by having this Target State and  Roadmap we would argue greatly helps  

fill the divide that many organizations face:  "how do we make our strategy executable?".

Firstly, it's important to stress that while any  roadmap won't survive contact with the real world,  

or the enemy to revert to the original military  quote, we strongly feel it's better to have one  

and update it periodically than have no idea  where you're heading or how to get there.

Of course these days this request is most  often expressed to us as we need a Digital  

Transformation Roadmap which in our opinion is  basically just a Business Transformation Roadmap  

done well, I mean who's going to do an analog  transformation in the 21st century after all?

We're naturally delighted to do this  work, it is our sweet spot after all,  

but there's a few prerequisites required  in our opinion for the roadmap if it is  

to be executable or shovel ready as we like  to say. What do we mean by that? Accurate and  

sufficiently linked to strategy and benefits  to gain senior executive and board support;  

basically be of high quality  and get the dollars approved.

Let's work backwards through our proven  approach for developing these roadmaps  

to understand these key prerequisites, noting  that if you don't have any of them already,  

we're happy to help work  with you to address any gaps.

The first thing is the target  state must be clearly defined:  

you can't build a roadmap to nowhere  or to somewhere vague after all.  

We believe there are three components to  this, otherwise where's roadmap taking you?

The first is an understanding of what Solutions  you need and what business capabilities they  

need to support as shown in this picture.  The second is that conceptual Target State  

architecture depicting how those systems will work  together to deliver on your business strategy.  

Finally a graphically appealing picture  of that Target state to support executive  

communication, what we refer to jokingly  as "Marketecture" at Fragile to Agile.

The next thing you'll need is a clear  understanding of your starting point  

you can't map a journey to your target if  you don't know where you're starting from.

This is achieved by overlaying your current  systems onto a Business Capability Model,  

and we'll talk about what that is in a  minute, and then addressing qualitatively or  

quantitatively how well these systems support  you today and your future business strategy

Irrespective of being needed  to support roadmap development,  

this activity can deliver immediate value  and insight to your current systems. For  

example material gaps in Technology  support, opportunities for systems  

rationalization, that can often lead  to simplification and cost reduction.

For large and complex or multi-business unit  organizations, you'll need to understand your  

operating model and specifically what that means  for which capabilities should be Standardized  

across the organization and which capabilities  need to be different in different business units.

Missing this step in is in  our opinion, and experience,  

a key root cause of the failure  of many attempted transformations  

or the failure of an individual technology  project within that transformation.

Next thing you need is a stable model of the  business suitable to understand the current  

state and plan and design that Target State.  This is a key tool referred to as a Business  

Capability Model or BCM for short. It's a  model of "what" your business does rather  

than "how" it's done (a process model) or  "who" does it (an org structure model).

As what you do changes much less frequently  than how you do it or who does it,  

this makes this model the ideal  planning and design vehicle to  

develop a Target State and roadmap to  drive Business and Technology alignment.

If you try to align to a process or  organizational structure view of your business,  

you're effectively aligning to jelly and this  approach has proven to be fundamentally flawed

Finally in addition to its immediate value in  supporting the development of a Target State  

and a roadmap, the Business Capability Model  will also be a powerful ongoing planning and  

design tool for your organization. Many  of our clients continue to use and gain  

considerable value from this tool a  decade or more after its delivery.

Fragile to Agile are proud  that we were the pioneers  

of this approach in Australia and  remain market and thought leaders.

Next thing you need is a clear articulation of the  Business Strategy in measurable, SMART (Specific,  

Measurable, Attainable, Realistic or  Timely) and not ambiguous outcomes;  

basically a statement of what good  looks like for your organization.

This provides a justification as well as clear  traceability of the Target State and Roadmap  

back to your strategy. This activity is crucial  to connecting the Target State and Roadmap to  

the Strategy and thereby communicating this  to the people who'll need to fund it and then  

of course to the people who need to deliver  on that vision when executing the roadmap.

Once all complete, the combination enables you  to produce a powerful one-page communication  

vehicle for the transformation,  summarizing "where are we now?",  

"where do we need to be?", "what do we need to  get there?" and "how do we make it happen?".

It's worth adding that a particular value-add to  

a Fragile to Agile Roadmap is in addition to  the Target State and Roadmap being driven by  

and traceable back to your business  strategy (or your business intent),  

Fragile to Agile Roadmaps recognize that change  is the new black in the world and a key component  

of any such transformation is at the end your  organization should be materially more agile:  

adaptable and flexible, it's in our name after  all, it's part of our reason for existing.

Done well, it'll be the last large-scale  transformation you will need as thereafter  

you'll be set up for continuous improvement  and a more agile delivery approach.

Finally we believe one of the critical  success factors for a successful execution  

is to have a consistent framework  covering all domains of design.  

Our Integrated Architecture Framework shown here:  debatably the oldest such framework in the world,  

which has stood the test of time and remained  unchanged for 23 years, and by that we mean  

we've been able to find a home in the framework  for every aspect of the design of an organization  

without change ever since its inception, and it  is Public Commons IP and it provides the final  

tool you need to drive successful successful  execution and governance of the program.

Reach out via any of our channels and we would  love the opportunity to explain any of the  

content in this video to you in more detail  discuss your specific challenges and how the  

above approach could help address them thank  you for your time and I hope it was a value